miércoles, 8 de diciembre de 2010

MORALES TO TOBIAS: THANKS FOR THE ASSISTANCE

Reference ID Created Released Classification Origin
07LAPAZ597 2007-03-02 20:08 2010-12-03 21:09 CONFIDENTIAL Embassy La Paz
VZCZCXYZ0001 PP RUEHWEB  DE RUEHLP #0597/01 0612038 ZNY CCCCC ZZH P 022038Z MAR 07 FM AMEMBASSY LA PAZ TO RUEHC/SECSTATE WASHDC PRIORITY 2707 INFO RUEHAC/AMEMBASSY ASUNCION 6602 RUEHBO/AMEMBASSY BOGOTA 3923 RUEHBR/AMEMBASSY BRASILIA 7811 RUEHBU/AMEMBASSY BUENOS AIRES 5057 RUEHCV/AMEMBASSY CARACAS 2292 RUEHPE/AMEMBASSY LIMA 2390 RUEHMD/AMEMBASSY MADRID 3355 RUEHMN/AMEMBASSY MONTEVIDEO 4458 RUEHQT/AMEMBASSY QUITO 4933 RUEHSG/AMEMBASSY SANTIAGO 9521 RUEHUB/USINT HAVANA 0191 RHMFISS/HQ USSOUTHCOM MIAMI FL RUMIAAA/USCINCSO MIAMI FL RHEHNSC/NSC WASHINGTON DC
C O N F I D E N T I A L LA PAZ 000597   SIPDIS   SIPDIS   E.O. 12958: DECL: 03/03/2017  TAGS: ECON PGOV PREL SNAR BL SUBJECT: MORALES TO TOBIAS: THANKS FOR THE ASSISTANCE   Classified By: DCM Kris Urs for reasons 1.4 (b) and (d).   --------  SUMMARY  --------   1. (C) As part of Director of Foreign Assistance and USAID  Administrator Randall Tobias' visit to Bolivia, President  Morales met with Tobias, WHA PDAS Charles Shapiro, and  Ambassador Goldberg early March 2. Morales thanked  Ambassador Tobias for U.S. natural disaster assistance,  saying that this year's flooding is the worst Bolivia has  seen in 60 years. On the bilateral relationship in general,  Morales said Bolivia wants an "excellent relationship" with  the United States. Ambassadors Tobias and Shapiro offered  support for Bolivia's goal of a more inclusive society, but  Tobias noted that the goal should be placed in the context of  a democracy that includes all Bolivians. Morales asked for  aid in creating jobs and improving infrastructure and said he  has "great interest" in the Millennium Challenge Account  (MCA) and in an additional ATPDEA extension. Morales  described Bolivia's many marches and blockades as largely  local problems and accused opposition party Podemos of  organizing them and plotting against his government. Morales  thanked Ambassador Tobias for USAID assistance, highlighting  alternative development and infrastructure programs in  particular. Ambassador Tobias noted both countries' interest  in close counternarcotics cooperation and acknowledged the  GOB's interdiction efforts; Morales responded by saying his  government is serious about fighting narcotics trafficking.  Morales spoke in terms of a net reduction of coca and said  his government plans to work harder in the Yungas; he also  stressed the GOB's desire for closer counternarcotics  cooperation with the United States. In an unprecedented move,  Morales joined Tobias for a joint press conference following  the meeting and publicly thanked the USG for disaster  assistance and general cooperation. In perhaps the Embassy's  most positive meeting with Morales to date, the president  repeatedly thanked Tobias (both privately and publicly) for  U.S. assistance and seemed to appreciate the finer points of  USAID operations in Bolivia. End summary.   -------------------  DISASTER ASSISTANCE  -------------------   2. (C) As part of Director of Foreign Assistance and USAID  Administrator Randall Tobias' visit to Bolivia, President  Morales (along with Amcit MFA trade advisor Tom Kruse) met  with Tobias, WHA PDAS Charles Shapiro, and Ambassador  Goldberg early March 2. Morales thanked Ambassador Tobias  for U.S. natural disaster assistance, saying that this year's  flooding is the worst Bolivia has seen in 60 years. Morales  said he is "very grateful" for the international cooperation  Bolivia has received. Ambassador Tobias conveyed the  sympathy of the American people for Bolivia's flooding  victims and informed Morales that two relief planes will  arrive March 5 to provide additional assistance. Tobias said  the USG is glad to have the opportunity to help Bolivia in  its time of need. Morales thanked Tobias for two additional  plane loads of assistance and said food rations and donations  will be needed for approximately six months in some areas,  until Bolivians can begin to recover from the disasters.   -------------------------  BILATERAL RELATIONSHIP  -------------------------   3. (C) On the bilateral relationship in general, Morales said  he wants an "excellent relationship" with the United States.  He explained that Bolivia has a culture of dialogue and that  debate is welcome. Morales said that while sometimes the  press wants to generate conflict between us, he wants the  "maximum level of cooperation with the USG." He acknowledged  that the United States is the most developed country in the  world, but noted that the United States faces environmental  challenges, implying that the United States could learn from  the Bolivians about how to live at peace with nature.  Ambassadors Tobias and Shapiro offered support for Bolivia's  goal of a more inclusive society, but Tobias noted that the  goal should be placed in the context of a democracy that  includes all Bolivians. Ambassador Tobias emphasized the  long relationship between Bolivia and the United States,  which he said the United States values and wants to continue.  Tobias told Morales that the United States and Bolivia have  many things in common, and that they should continue to work  to find common interests.   4. (C) Morales asked for aid in creating jobs and improving  infrastructure and said he has "great interest" in the  Millennium Challenge Account (MCA) (particularly for a  highway from La Paz to Pando via Beni) and in an additional  ATPDEA extension. Morales thanked Tobias for Congress'  extension of ATPDEA benefits and said Bolivia wants commerce  with the United States so it can export goods to the U.S.  market. He noted that as developed and developing countries,  the United States and Bolivia complement each other well.  Morales also acknowledged the United States' prominent role  in international institutions including the World Bank and  the IDB, and said he was grateful for that assistance.  Morales said Bolivia's macroeconomic stability has improved  overall, largely due to increased hydrocarbons revenues, but  not enough to create sufficient jobs. He also pointed out  that his government's hydrocarbons' nationalization did not  include expropriation of property or assets. Ambassador  Tobias responded by saying that the USG is working hard to  improve lives, create jobs and increase investment in  Bolivia. We recognize that a stable economy is key to those  goals, he said. Tobias also encouraged Morales to  aggressively pursue a MCC proprosal. He emphasized that his  visit should be read as a strong signal that the United  States wants to work with Bolivia toward these goals.   -------------  SOCIAL UNREST  -------------   5. (C) Morales described Bolivia's many marches and blockades  as largely local problems and accused opposition party  Podemos of organizing them and plotting against his  government. He said that in contrast to protests over the  past year, the marches he led prior to becoming president  were "apolitical"-- in support of human rights, coca, and  other causes. He said the Bolivian people received his  marches warmly by supporting the marchers and providing them  with food. Morales lamented the most violent conflict in his  administration to date-- the October 2006 conflict between  miners in Huanuni. Before the conflict, Morales said he  personally met with miners more than 15 times. He said he  told both sides that he would work to help them but that they  would have to work together. Morales regretted that they  couldn't, calling the violence the "worst moment" in his  administration.   --------------  USAID SUPPORT  --------------   6. (C) Morales thanked Ambassador Tobias for USAID  assistance, highlighting alternative development programs in  particular. He noted the current high prices for  Chapare-produced palm hearts, as well as the GOB's desire to  export more bananas. Morales said Bolivia wants to export  alternative development products, as successes in alternative  development reduce coca cultivation. He mentioned the  importance of a good infrastructure for alternative  development projects, and thanked Tobias for USAID assistance  in constructing a road in the Chapare. While stating that  the GOB "wants to maximize U.S. cooperation," Morales  suggested that USAID assistance could be more efficient. He  said that for the cost of one USAID-constructed soccer field,  the GOB could have built three. (NOTE: Morales made this  argument previously and Ambassador Goldberg responded via  letter to explain that our numbers indicated otherwise).  Morales also mentioned health and education as critical areas  for international cooperation in Bolivia.   7. (C) After expressing gratitude for USAID assistance,  Morales indicated that he would prefer that international  assistance be donated to the central government, not  Bolivia's prefects or mayors. He said he would like to  establish a type of open registry to monitor aid, not for  purposes of controlling it but for the benefit of Bolivia's  development process. He said it would be useful to know the  amount of USAID assistance in Bolivia and what the money is  spent on.   --------------------  COCA: MORE IS LESS?  --------------------   8. (C) Ambassador Tobias highlighted both countries' interest  in close counternarcotics cooperation and acknowledged the  GOB's interdiction efforts. He said that while the United  States remains concerned that any increase in coca  cultivation will go to the illegal drug trade, he looked  forward to continuing to work through those issues with the  GOB. Morales responded by saying his government is serious  about fighting narcotics trafficking. He said that although  he has been accused of being a narcotrafficker, the GOB  policy is "zero cocaine, zero drugs." He said in Bolivia,  "one can't talk about zero coca." At the same time, he said,  his government's respect for the traditional use of coca does  not imply unrestricted growth. Morales also explained that  cocaine is not part of Bolivia's indigenous culture.   9. (C) In giving Ambassador Tobias some of his personal  history, Morales said he was not born a cocalero but moved to  Chapare in 1979-80 after completing his mandatory military  service. His family, he said, focused on rice production but  also grew a few catos of coca on the side. Because of  globalization and increased international trade in the  1980's, Brazilian rice became cheaper than Bolivian rice,  thus damaging his family's business. He recounted that in  those years of hyperinflation, people had to sell large  bundles of bananas to buy a coke or a beer. Morales said  eradication with government compensation failed because  people became accustomed to being paid large sums of money,  "like by a bank." In Morales' opinion, militarization also  failed, as it led to permanent confrontation without results.  These failures, Morales said, led him to suggest one cato of  coca per affiliate to limit production of coca and to prevent  conflict. He said that when he speaks to the Six Federations  (the main coca labor organization in the Chapare), he tells  them if they fail to respect the cato of coca, the GOB will  have to return to militarization. He said this serves as a  strong deterrent.   10. (C) Regarding the GOB's future plans, Morales spoke in  terms of a net reduction of coca and said his government  plans to work harder in the Yungas (particularly in La Asunta  and in Caranavi). He also stressed the GOB's desire for  closer counternarcotics cooperation with the United States.  Morales lamented a lack of progress in the Yungas but said he  hoped the situation would improve. He thanked the USG for  its help eradicating in Bolivia's national parks, calling  counternarcotics a "shared responsibility." Morales,  however, also defended the GOB's proposal to raise the legal  limits of coca production to 20,000 hectares, saying it is  "impossible to guarantee 10,000- 12,000 hectares of coca" but  that 20,000 hectares is a more realistic goal. Likewise, he  defended the GOB's human rights-conscious policy of  "rationalization," or voluntary eradication, stating that  statistics show that the process is more effective if it is  voluntary. While Morales admitted increased coca cultivation  in some areas, he maintained those cases are the exception  and not the rule. Morales said he knows if he fails, the  United Nations and United States will be watching. In  response to Ambassador Tobias' inquiry about how much coca  should be approved for traditional uses under ideal  circumstances, Morales replied "less than 20,000 hectares."  He admitted, however, that the European Union's legal demand  study was "stuck." Overall, Morales said, he is optimistic  about the GOB's ability to fight narcotics trafficking,  having met its obligations in 2006.   ---------------------------------------------  A FIRST JOINT PRESS CONFERENCE WITH MORALES  ---------------------------------------------   10. (SBU) In an unprecedented move, Morales joined Tobias for  a joint press conference following the meeting. Morales  stated publicly that he was "very happy" with the meeting,  and publicly thanked the USG for disaster assistance (noting  that more would arrive next week) and general cooperation.  Morales said the GOB's dialogue with the United States was  important to Bolivia and that it would continue. Morales  emphasized the GOB's "culture of dialogue" and its respect  for differences with other countries. Additionally, in  response to questions about the release of the INCSR report  March 1, Morales said that he respected the report as an  internal evaluation of our government, but that GOB  statistics on counternarcotics progress were very different.   ---------  COMMENT  ---------   11. (C) In perhaps the Embassy's most positive meeting with  Morales to date, the president repeatedly thanked Tobias  privately and publicly for U.S. assistance. Morales seemed  to appreciate the finer points of USAID operations in Bolivia  and to have a superficial understanding of U.S. concerns on  counternarcotics (as reflected by his discussion of a net  reduction of coca). On trade, Morales clearly wants an  ATPDEA extension, as further evidenced by Foreign Minister  Choquehuanca's late February trip to Washington, but again  made no mention of a concrete free trade proposal. While it  seems that Morales may be warming to the benefits of a good  bilateral relationship, his willingness to cooperate on the  more difficult issues and to deliver solid political,  economic, and counternarcotics policies may still be another  matter. End comment.   This cable has been cleared by Ambassadors Tobias and Shapiro.  GOLDBERG

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